EconPapers    
Economics at your fingertips  
 

The impact of trade tensions on Switzerland: A quantitative assessment

Laurence Wicht

Aussenwirtschaft, 2019, vol. 70, issue 01, 1-34

Abstract: This paper quantifies the impact of trade tensions between the United States and China. Using a general equilibrium Ricardian trade model, it provides a Swiss-centric analysis of two tariff escalation shocks. Counterfactual analysis shows that welfare and trade effects are broadly negative for the United States and China. In contrast, both tariff escalation shocks could lead to a small increase in real GDP in Switzerland. The labor productivity of Swiss manufacturing sectors increases slightly, especially in sectors that are well-connected to China. While trade collapses between the United States and China, Swiss real exports to the United States in selected sectors increase significantly.

Keywords: gains from trade; tariffs; trade wars (search for similar items in EconPapers)
JEL-codes: F10 F11 F14 (search for similar items in EconPapers)
Date: 2020-04
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link)
http://ux-tauri.unisg.ch/RePEc/usg/auswrt/AW_70-01__01_Wicht.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:usg:auswrt:2019:70:01:1-34

Access Statistics for this article

More articles in Aussenwirtschaft from University of St. Gallen, School of Economics and Political Science, Swiss Institute for International Economics and Applied Economics Research Contact information at EDIRC.
Bibliographic data for series maintained by Stefan Legge ().

 
Page updated 2021-05-17
Handle: RePEc:usg:auswrt:2019:70:01:1-34